I find that statistic usually help alot when it comes to numbers and what can back up an offer. You also have to know what you number you will walk away at if the negotiating doesn't favor what you hoped. If it's "the" house...jump in and see what you can make happen. It's a fantastic time to buy - low interest rates really change your monthly cost. I wish you the best and would happily help you more if needed.

Laura Sargent
Carolina One Real Estate
lsargent@carolinaone.com
509-2375

Part 1
Price
Price is the largest part of the formula. Talk to a real estate professional about price. My suggestion is to ask him/her if you were to list that house what price would you choose. That should be close to the market value of the home. Then ask why they are moving, if they are relocating or if they are down sizing those issues can factor your offer price. I can tell you LOW offers are the not solution, Good offers are. You want to offer low enough that they do not want to counter they just sign so they do not loose you as a buyer. Remember if the house is in need of repair, you do not take off the price since your REALTOR has given you the market price of the home. Some other keys are Days on Market, How many others are for sale in that price range and Inventory in general
Part 2
Earnest Money
Earnest money is the one factor over looked by many. This is your intent to purchase. A Low offer with $500 is seen differently that an offer with $10,000 in earnest money. Put yourself in the shoes of the seller with earnest money.
Part 3
Closing Time
Closing time is # 2 after Price in importance to the seller. Timing sometimes is playing with their emotions and is something you need to do with caution. I have seen deals go away over closing date. Find out front he sellers agent when they want to move, act and show care about that date. If they want out ASAP, call your mortgage person and ask how fast he/she can do a loan. If they say it does not matter, give them 30-45 days. Time is a card you can use, play, and win with, if you use properly. I treat time as important as price when talking to the sellers agent. Play on emotions and let them feel they won the closing date battle and you win the price battle.
Part 4
Concessions
A concession is tough and can hurt more than help. Example of a low offer with the buyer asking for lamps, fridge, lawn mower, etc would go over not well. Trust me when I say don’t ask for stuff, if you have to have it because it fits that house ask the sellers if they want to sell it. Think of it as if you are negotiating your largest investment, but asking for garage sale items to be mortgaged for 30 years. Ask about items and ask for them if you got to have them but make sure you do it correctly or the mortgage company is going to kick them out or put a price on them. Example “All window Treatments and hardware to remain at NO cost to buyer"

Good luck


Edwin Gerace http://www.EdwinGerace.com http://www.EdwinGeracesrealestateblog.com

Hi Kt2 - That is always the toughest part as it is sometimes a fine line between what to offer trying to get the best deal and not wanting to insult the seller. Goose Creek has been a little busier recently but if the home has been on the market for a while, any offer is a good offer. I tell my clients that just getting the offer is like winning the lottery in today's real estate market. My contact in is below and feel free to contact me if you would like me to take a look at the home and comps and give you my honest opinion. I am a full time agent and my parter and I are thriving in this slow market. Hope to hear from you soon,

Randall Sandin
Charleston Pier Partners - Carolina One Real Estate
843-209-9667
rsandin@carolinaone.com

Hello, Kt2.

What to offer on a home is an excellent question! There are three parts to that answer.

First, what is included in that offering price? Are you going to ask the Seller to pay for your closing costs and escrows - typically 3% - 5%? Are you going to be able to close within a couple of weeks, or do you need 45 - 60 days in order to close? Are you asking the Seller for any other considerations, such as a home warranty, or appliances to convey, etc.?

Second, what is the market value of homes in the area and how does this price compare? Kt2, I can tell you that in the Charleston / Summerville / Ladson / Goose Creek area, market values have to be determined not just by the size of the house, but also by the subdivision! If you're working with a Buyer's Agent, they will be able to tell you what comparable homes in the same subdivision have recently sold for, and will guide you preparing and negotiating an offer.

Third, how badly do you want this house? I recently represented a client who very much wanted a particular home, but thought that the price was too high, and as you say, the Seller ought to be glad to get any offer because the news is telling us daily about foreclosures and declining markets, etc. He lost his "dream home" to another eager buyer by less than $1000, in spite of my urgings to offer full list price on the home.

Are home values still declining? That most definitely depends upon your very specific market. Spring is the busiest home-buying time in our market, and prices tend to stabilize at least during that time period. Have your Buyer's Agent take a look at the trends in the neighborhood your interested in, and they can tell you what the market is doing. If you do not already have a Buyer's Agent helping you with this information, please contact me, and I'll be glad to take a look at this home, and help you find answers to your questions.

Deat Kt2,
I would like to suggest that you contact a local Realtor who could provide you information on your local real estate market its trends and its house values relative to the house in question.
Good luck,
Dania